BSE Q1 net profit soars 12-fold to ₹524 crore

BSE, Asia's oldest stock exchange, on Thursday reported a 12-fold jump in net profit to Rs 523.70 crore for the June quarter of the current financial year.

In comparison, the exchange had a net profit of Rs 43.70 crore in the first quarter of last fiscal, 2016-17, BSE said in a statement.

The total income rose by 11 per cent to Rs 158.38 crore in the first quarter of the current fiscal (2017-18), from Rs 142.73 crore in the year-ago period.

The exchange has made a 'gain on sale of subsidiary' totalling Rs 461.75 crore. It has partially divested its stake in a subsidiary company, CDSL, on June 29, 2017.

"The divestment has resulted in a loss of control and therefore the profit on sale of the investment in the subsidiary amounting to Rs 451.18 crore has been credited to the consolidated financial results during the quarter ended June 30, 2017," BSE said.

In October 2016, BSE had partially sold its stake in the subsidiary, which did not result in a "loss of control and hence the profit on the divestment amounting to Rs 10.57 crore was credited to retained earnings under the head other equity during the year ended March 31, 2017. The said profit of Rs 10.57 crore is now credited to the consolidated financial results during quarter ended June 30, 2017".